Ticket Scalpr

3744 N Clifton Ave

Chicago, IL 60613
Phone: 847-544-8534
E-Mail: Stephen Vyskocil
Web: http://ticketscalpr.com

Interoffice Memorandum

To: Patrick OBrien

From: Stephen Vyskocil
CC: Professor Amy Newendorp
Date: 7/19/2015
Re: Regarding Evaluation of Operations

Thank you for the opportunity to conduct an evaluation of your operations. My initial assessment
indicates that there are several opportunities to improve efficiencies which should lead to better margins,
improved client satisfaction, and sustainable business growth.
Let's begin with a brief overview of your operations. The company Ticket Scalpr was incorporated in
October of 2012. The concept was to create an app that would bring customers measurable cost savings
on ticket purchases while improving individuals overall experiences when attending concerts at a variety
of venues, various sporting events, and theater productions. The Mission Statement, while not formal, is
to be the best fan-to-fan ticket marketplace.1
Going forward, it is the companys intent to raise new capital through the use of venture capitalists and
individual private investors. The company will also continue to bring in revenue through ticket sales as
well as freelance work.2
Primary competitors of Ticket Scalpr include, but are not limited to, Ticketmaster.com, Stubhub.com,
Vividseats.com, Craigslist.com, and Seatgeek.com, all of whom own a significant portion of the ticket
marketplace. In addition, any company encompassing the mobile space such as Gametime and Applause,
as well as smaller apps.3
Key large customers include Ticket Evolution, the companys primary ticket provider, as well as a small
sub-set of regular customers who routinely purchase tickets and are referred to in the business as
"Whales".4
1
2
3
4

O'Brien, Patrick. "Ticket Scalpr | Buy and Sell Tickets at the Stadium." 2013. Accessed July 15, 2015. http://ticketscalpr.com.
O'Brien, Patrick. "Regarding Evaluation of Operations." Interview by author. July 15, 2015.
Ibid.
Ibid.

While Ticket Scalpr's app is constantly evolving, the company does guarantee fans 100% ticket
authenticity protection through the use of a complete "money back" promise. There are over 2 billion
dollars worth of tickets including both e-tickets and paper tickets (tickets that need to be shipped), as well
as fan-to-fan tickets. Ticket Scalpr is able to provide the type of ticket needed, a map to where the ticket
can be picked up, and an image of the ticket, creating an Uber like experience for their
customers. Included in all this is a "price match" guarantee policy to the customer. Moreover, the
company has a philanthropic side that includes a variety of giveaways, and the awarding of discounted or
free tickets. All this is done while striving to bring their customers the cheapest tickets available in the
marketplace.5
At the present time, Ticket Scalpr has a very flat hierarchy as its founder is not only the CEO, he is also
the CFO, CMO, COO, and CPO. This single individual is currently working with two independent
system developers and 10 interns.
While still in its infancy, the company's direction has pivoted several times. At its launch the companys
rather oversized goal was to be the best ticket-scalping app in the world. Initially customers were only
allowed to buy tickets three days before an event. That short time frame was then enlarged to seven days,
and eventually it grew to be three months. The app has also evolved to service a more traditional
marketplace. The target market became more drivendriven by scalping tickets and to become more
attuned to selling them. Due in part to legal concerns, scalping itself had become one problem within the
bigger picture.6
The future of the company centers on its ability to help people sell tickets in a simple yet efficient manner,
instead of trying to create an entirely new marketplace. Having said that, I believe there are several areas
within the operation that if addressed, could help the company meet that goal and eventually become
financially stable and attractive to investors.
Let's look primarily at staffing. The current operation relies very heavily on its founder. This person is
taking on all key roles in the management of the company. While he may have the ability to take on each
of the senior officer roles, doing so spreads him too thin, and can result in errors and missed deadlines as
one decision builds upon the next and time is money. Bringing on a CFO to oversee the management and
investment of the companys funds is critical, as is bringing on a chief marketing officer to create a formal
mission statement, and guide the companys efforts in securing a place within this somewhat crowded and
competitive entertainment space. According to Limeade CEO Henry Albrecht, as reported on June 29,
2015, its sad when people think they have to work 110 hours a week because theyre in a startup.
Thats really short-term thinking and its not sustainable.7

OBrien, http://ticketscalpr.com.
O'Brien, Patrick. "Regarding Evaluation of Operations." Interview by author. July 15, 2015.
7
Demmitt, Jacob. "Limeade CEO Henry Albrecht on Signs That You're Working Too Many Hours - The Business Journals." The Business Journals. June 29,
2015. Accessed July 21, 2015. http://www.bizjournals.com/bizjournals/how-to/growth-strategies/2015/06/tech-ceo-signs-that-youre-working-too-manyhours.html.
6

Other important roles such as graphic design, programing, and IT support, may be gained through the use
of contract labor. However, these positions should be staffed with full time employees as the company
grows and has the funds to meet these payroll needs.
The use of summer interns not only provides an abundance of free labor, it is also a great source for
creative minds and freethinking individuals to bring those ideas and energy to the company. Managing 10
interns can be overwhelming though, so thought should be given to hiring a Chief Information Officer
who can take on that task. This person could provide additional direction to the interns, guiding them
through the maze of training that any new hire would go through, and harnessing the variety of talents
that they bring to the organization. As cited on the Stanford Graduate School of Education website, An
internship can be a great way for managers to advance organizational goals while mentoring aspiring
professionals.
According to an online periodical written by Mr. Reeves from Forbes Magazine, hiring the right team
members can be critical for any entrepreneur in a start-up like Ticket Scalpr. Mr. Reeves speaks to the
benefit of temporary employees such as interns because you can always Make the job permanent. Your
employees market your business, and can be seen as its Public face. Ways to go about hiring new
employees may be to take an ad out in a local newspaper, post an ad online, or hire a headhunter, the
former being the least expensive and the latter being the most.8 Working with universities such as DePaul
to attract summer interns has many similarities to hiring temporary help with the additional benefit of cost
savings.

Taking the above steps would come at a cost. Yet the use of an outside Human Resource management
firm should be considered to help control those costs, make certain that all workplace guidelines and labor
laws are met, and bring additional efficiencies and staffing discipline to the company.
Works Cited
Demmitt, Jacob. "Limeade CEO Henry Albrecht on Signs That You're Working Too Many Hours - The
Business Journals." The Business Journals. June 29, 2015. Accessed July 21, 2015.
http://www.bizjournals.com/bizjournals/how-to/growth-strategies/2015/06/tech-ceo-signs-thatyoure-working-too-many-hours.html.
"Internships." Internships. 2014. Accessed July 26, 2015. https://ed.stanford.edu/careers/internships.
O'Brien, Patrick. "Regarding Evaluation of Operations." Interview by author. July 15, 2015.
O'Brien, Patrick. "Ticket Scalpr | Buy and Sell Tickets at the Stadium." 2013. Accessed July 15, 2015.
http://ticketscalpr.com.
Reeves, Scott. "Small-Business Staffing Suggestions." Forbes. July 8, 2004. Accessed July 19, 2015.
http://www.forbes.com/2004/07/08/cx_sr_0708smallbizstaff.html.
8

Reeves, Scott. "Small-Business Staffing Suggestions." Forbes. July 8, 2004. Accessed July 19, 2015.
http://www.forbes.com/2004/07/08/cx_sr_0708smallbizstaff.html.